Defence offset contracts worth 49000 crores in pipeline: Pallam Raju

New Delhi, Feb 16 (ANI): Minister of State for Defence M M Pallam Raju today saqid that Indian defence industry is gaining strength as offset contracts worth Rs.49000 crore are in the pipeline while offsets worth Rs.4200 crore have already materialised.

Speaking at a Seminar on "The Indian Army: Next Generation Systems, An Evolution" organized by PHD Chamber at the DEFEXPO 2010, Pallam Raju said that the defence acquisition process has continuously been revamped.

"New categorization of buy and make in India has been introduced from December 2009 and this should give a special impetus to defence manufacturing in the country," he said. allam Raju said that for ensuring security at the lowest cost in a transparent manner, the armed forces would like to get the best arms and equipments from the private industry along with the government.

Lt. Gen. J P Singh, Deputy Chief of Integrated Defence Staff (PP and FD) speaking on the theme "Future Systems of Indian Army" informed that new defence procurement policy will soon be out and action plans for defence acquisition will be drawn in the form of Five Year Plan with annual acquisition plans to be the first gateway of entry for the private sector in the defence industry. HD Chamber expressed that the Government should provide necessary linkages for defence acquisition as well as maintenance, which would offer tremendous scope of opportunities for SMEs operating in the area of defence production and operation.

PHD Chamber recommended that India 's plans for defence modernization should lead to a substantive up-gradation of India 's defence base and manufacturing prowess. (ANI)